Lavipharm S.A. — Annual Report 2007

Oct 1, 2015

COMPANY DETAILS						BOARD OF DIRECTORS
Corporate address:	Agias Marinas Str. -19002 Paiania
Société Anonyme reference code:	14010 / 06 / Β / 86 / 69					Chairman and CEO, executive member	Athanase Lavidas
Prefecture :	Ministry of Development, SA & Credit administration					Vice-President, independent non executive member	Nicolaos Houlis
Finacial statement approval date						Councelor, Executive member	Tania-Panagiota Vranopoulos
(from which the data was obtained) :	November 27, 2007					Executive member	Spyridon Fotinos
Chartered Auditor :	Kakouras Dimitrios	Kyriakou Marios				Non executive member	Vana Lavida
Audit firn :	SOL S.A.	KPMG Kyriakou Certified Auditors S.A.				Non executive member	Evangelos Athanasas
Type of audit report (Group & Company):	Not required					Independent non executive member	Minas Tanes
Corporate internet address:	www.lavipharm.com					Independent non executive member	Henry Georges Muller
	BALANCE SHEET						INCOME STATEMENT
	(Amounts in thousand euro's)	Consolidated		Company			(Amounts in thousand euro's) Consolidated		Company
ASSETS		31.12.2007	31.12.2006	31.12.2007	31.12.2006		01.01-31.12.2007 01.01-31.12.2006		01.01-31.12.2007 01.01-31.12.2006
Non current assets		88.439	84.528	167.920	164.373
Inventories		18.395	15.442	2.317	2.293	Operating revenues	248.299	230.265	56.254	48.590
Trade and other receivables		73.182	67.991	22.349	26.754	Gross profit/(loss)	44.727	43.315	14.002	14.649
Other assets TOTAL ASSETS		22.596 202.612	28.634 196.595	7.099 199.685	19.559 212.979	EBITDA	10.982	20.629	5.888	16.403
LIABILITIES						EBIT	6.382	15.505	3.172	13.598
Non current liabilities		62.274	39.122	3.890	7.768	Profit/(loss) before taxes	(10.236)	4.414	(4.856)	9.787
Short term borrowings		43.113	87.152	23.218	54.449	Minus:Income taxes	(1.154)	(1.249)	(1.434)	(2.411)
Other short term liabilities		60.947	60.283	24.539	30.327	Profit/(loss) after taxes	(11.390)	3.165	(6.290)	7.376
Total liabilities (a)		166.334	186.557	51.647	92.544	Distributed to:
Share Capital		51.081	39.293	51.081	39.293	Shareholders	(9.263)	2.719	(6.290)	7.376
Other equity		(15.312)	(30.421)	96.957	81.142	Minority interests	(2.127)	446	-	-
Total shareholders' equity (b)		35.769	8.872	148.038	120.435	Basic earnings per share (in Euro's)	(,27)	0,08	(,15)	0,19
Minority interests ©		509	1.166		- -	Suggested dividend per share	-	-	-	0,06
Total shareholders' equity (d)=(b)+©		36.278	10.038	148.038	120.435
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES (e)=(a)+(d)		202.612	196.595	199.685	212.979
	CHANGES IN THE SHAREHOLDERS EQUITY OF THE PERIOD (Amounts in thousand euro's)						CASH FLOW STATEMENT
		Consolidated		Company			(Amounts in thousand euro's) Consolidated		Company
		31.12.2007	31.12.2006	31.12.2007	31.12.2006		01.01-31.12.2007 01.01-31.12.2006		01.01-31.12.2007 01.01-31.12.2006
						Cash flow from operating activities
Equity at the beginning of period (01.01.2007 και 01.01.2006 correspondingly)		10.038	8.064	120.435	113.059	Profit/(loss) before taxes	(10.236)	4.414	(4.856)	9.787
Profit/(loss) for the period after taxes		(11.390)	3.165	(6.290)	7.376	Adjustments for:
		(1.352)	11.229	114.145	120.435	Depreciation, amortization and assets written-off	4.600	5.124	2.716	2.805
Increase/(Decrease) in share capital Distributed dividends (profits)		36.346 (2.515)	844 (129)	36.346 (2.453)	- -	Provisions Foreign exchange differences	1.759 2.385	(2.265) 1.958	(19) 166	(2.618) 454
Net income directly to equity		3.799	(1.906)		- -
Purchase/(Sale) of Treasury Stock			- -	-	-	(Gains)/Losses on sales of assets	(572)	(1.404)	(548)	(761)
						Interest expense	17.010	11.233	8.418	4.822
Equity at the end of period (30.06.2007 και 30.06.2006 correspondingly)		36.278	10.038	148.038	120.435	Plus/minus adjustments for changes in working capital accounts
						or accounts related to operating activities: Decrease / (increase) on inventories	(5.489)	(4.383)	(228)	(397)
	ADDITIONAL INFORMATION					Decrease / (increase) on trade and other receivables	7.594	(13.651)	14.618	(5.537)
1. The companies of the Group with the corresponding headquarters and the paricipation shares included in the consolidated financial statements are:						(Decrease) / increase on liabilities	(1.465)	(20.864)	(7.761)	(23.129)
Full consolidation method (direct participation):				Unaudited Tax Years		Less:
· Lavipharm S.A.	Greece	Parent		2006-2007		Interest paid	(16.300)	(8.025)	(8.306)	(4.356)
· Lavipharm Hellas S.A.	Greece	99,90%		2004-2007		Income tax paid	(3.057)	(5.209)	(2.300)	(2.484)
· Pharma Logistics S.A.	Greece	96,52%		2001-2007		Net cash flows provided by operating activities (a).	(3.771)	(33.072)	1.900	(21.414)
· Lavipharm Active Services S.A.	Greece	100,00%		2003-2007
· Pharma PLUS S.A.	Greece	94,12%		2001-2007		Cash flow from investing activities
· Castalia Laboratoires Dermatologiques S.Α.	Greece	68,50%		2005-2007		Investments in subsidiaries and associates	149	(1.000)	-	(2.260)
· Lavipharm Corporation	USA	61,41%				Purchases of tangible and intangible assets	(8.115)	(7.371)	(4.748)	(1.453)
· Laboratoires Lavipharm S.A.	France	45,00%		2000-2007		Income from sales of tangible and intangible assets	15	216	2	107
						Interest received	80	-	15	32
Full consolidation method (indirect participation):						Dividends received		- -	876	-
· Newpharm S.A.	Greece	70,00%		2005-2007		Net cash flows provided by investing activities (b).	(7.871)	(8.155)	(3.855)	(3.574)
· Kavala S.A.	Greece	70,00%		2004-2007
· L.A.S Patra S.A.	Greece	98,30%		2005-2007		Cash flow from financing activities
· Larissa S.A.	Greece	98,30%		2001-2007		Income from increase of share capital	36.346	844	36.346	-
· L.A.S Thessaloniki M.E.P.E.	Greece	100,00%		2000-2007		Income from loan issuance	29.142	48.796	7.843	30.310
· Lavipharm Laboratories Inc.	USA	61,41%				Loan repayments	(44.352)	(19.678)	(39.128)	(16.364)
· Lavipharm France Holding	France	44,87%		2004-2007		Dividends paid	(2.069)	(129)	(2.005)	-
· Hitex	France	44,87%		2001-2007
						Net cash flows provided by financing activities (c).	19.067	29.833	3.056	13.946
Equity method (direct participation): · Lavipharm Pharmaceutical Services Ltd	Cyprus	40,00%				Net increase/(decrease) in cash and cash equivalents (a)+(b)+(c).	7.425	(11.394)	1.101	(11.042)
						Cash and cash equivalents at the beginning of the period	6.023	17.417	2.484	13.526
Equity method (indirect participation):						Cash and cash equivalents at the end of the period	13.448	6.023	3.585	2.484
· Lavipharm Cyprus Ltd	Cyprus	40,00%
· Lavipharm Distribution Ltd	Cyprus	20,49%
· Phasex	USA	18,42% * (Note 1)

1. Basic principles of the Balance Sheet of 31.12.2006 have been maintained.

2. For any kind of disputes all necessary provisions have been made in both group's and company's records.

3. Number of staff are: 31/12/2007 Group 654, Company 225 and respectively 31/12/2006 Group 673, Company 221.

* ((Note 1) Lavipharm Corp. participates in Phasex by 30% and consolidates it by the equity method of consolidation. Lavipharm SA participates in Lavipharm Corp. by 61.41% and consolidates it by the full method of consolidation. Due to the before-mentioned, Phasex is consolidated in Lavipharm Group of Companies by 18.42% (30%x61.41%) through Lavipharm Corp Group.

Peania, March 24, 2008
THE CHAIRMAN AND CEO	THE DEPUTY CEO	THE CFO	THE GROUP ACCOUNTING DIRECTOR
ATHANASE LAVIDAS ID S 280245	TANIA VRANOPOULOS ID ΑΒ 507812	CHRISTODOULOS MANIATIS ΑΔΤ S 702906	PANAGIOTIS PAVLOU ID Ρ 021736

4.1. For loans of a foreign subsidiary amounting to Euro 31.037, securities on company's assets have been provided amounting to Euro 2.645. Additionally, for the same loans, further securities have been provided on rights from subsidiaries shares and benefits from the use of patents etc. 2. For the remaining of long term debt, securities have been provided : a) to the parent company's assets amounting to Euro 1.800 and b) to subsidiaries' assets amounting to Euro 4.500.

	Consolidate	Company
a) Sales of goods and services	150	40.241
b) Purchases of goods and services	758	36.742
c) Receivables	1.928	18.152
d) Payables	1.725	12.004
e) Board members and key management personnel remuneration and other benefits	4.297	2.783
f) Amounts due from board members and key management personnel	15	14
g) Amounts due to board members and key management personnel	2.861	199

LAVIPHARM S.A.

ANONYMOUS COMMERCIAL AND INDUSTRIAL COMPANY OF PHARMACEUTICAL CHEMICAL AND COSMETIC PRODUCTS

SUMMARISED FINANCIAL DATA AND INFORMATION FOR THE PERIOD BEGINNING January 1, 2007 to December 31, 2007

(published based on C.L 2190, article 135 for companies submitting annual financial reports consolidated or not according to IFRS)

The following data aim at providing general information on the financial status and performance of Lavipharm S.A and oLavipharm Group. The reader who wishes to establish a more complete view of the financial status and performance has to attain access to the annual financial statements according to IFRS as well as the audit report. The aforementioned information is published at the company's internet address.

1. On September 26, 2007, the company' s Board of Directors certified the completion of the Share Capital Increase with the issue of 11.787.930 common shares with a nominal value of € 1,00 at € 3,20 per share, which was resolved by the Repeat Extraordinary Shareholders Meeting of May 23rd, 2007.

7.The earnings per share were calculated based on the weighted average number of shares on the total number of shares.

12.Sales and purchases accumulated from the beginning of the period and the balances of receivables and liabilities in the end of the period resulting from transactions of the Company with related and associated companies as required by IAS 24, are the following :

8.On June 15, 2007, Lavipharm France Holding SA, subsidiary of Laboratoires Lavipharm Group, sold its 34.87% participation in the subsidiary Separex SA.

9.A tax audit has been realized in the parent company Lavipharm SA during this period for fiscal years 2003 to 2005. The tax audit resulted in tax differences amounting to Euro 2,950, which have been recorder in the profit and loss statement.

10.Adjustments have been made in Trade Receivables and Other Receivables in the Asset side of the Balance Sheet statement.

1. Points of emphasis for the Group: 1. Reference to Lavipharm Corp. 2. Unaudited tax years. Point of emphasis for the Company: Unaudited tax years.